Jm Ab · OMXSTO:JM
Jm Ab — Q2 2002 Earnings Presentation
20 slides from Jm Ab's earnings presentation, Aug 16, 2002
Slide 1: JM Group Company Presentation
JM Group Company Presentation August 2002
Slide 2: Business concept
Business concept To create attractive living and working environments that satisfy individual needs both today and in the future 2002-08-16 1
Slide 3: Ownership structure
Ownership structure Share of capital at 31 July 2002 SEB funds and Alecta 3.2 foundations 19.2 Skandia 2.7 Robur mutual funds 6.7 Hagströmer & AMF Pension 6.1 Qviberg mutual funds 2.6 SHB mutual funds 5.3 Fourth Swedish National AFA Insurance 4.3 Pension Fund 2.5 Stefan Persson Third Swedish Nationa
Slide 4: JM shares
JM shares JM B SX4040 Real Estate index No. of shares traded, Stockholm stock exchange thousands All Share index 350 20000000 18000000 300 16000000 14000000 250 12000000 10000000 200 8000000 6000000 150 4000000 2000000 100 0 1997 1998 1999 2000 2001 2002 2002-08-16 3
Slide 5: Price trend tenant-owned apartments
Price trend tenant-owned apartments Stockholm County April 1997 – July 2002 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 0 Apr-97 Oct-97 Apr-98 Oct-98 Apr-99 Oct-99 Apr-00 Oct-00 Apr-01 Oct-01 Apr-02 City/Vasastan Östermalm Kungsholmen Södermalm Inner suburbs Outer suburbs 2002-08-16 Sourc
Slide 6: Significant events 2002
Significant events 2002 • Continued successful project development with increasing net sales • Stable housing demand and prices for homes • Caution in commercial project development • Some delays in planing process for housing projects in Stockholm • New financial targets – 2005 2002-08-16 5
Slide 7: Group summary
Group summary January – June 2002 • Profit after financial items amounted to SEK 416m (1,034) • Property sales of SEK 921m (2,670) provided capital gains of SEK 176m (702) • Return on equity over the past 12-month period amounted to 19% • Earnings per share over the past 12-month period amounted to
Slide 8: Group summary
Group summary January – June 2002 • Profit in project development amounted to SEK 470m (355) and the margin over the past 12-month period amounted to 12.1% • Net sales increased by 16% to SEK 4,671m (4,028) 2002-08-16 7
Slide 9: Factors affecting earnings first half 2002
Factors affecting earnings first half 2002 Revaluation effects Hammarby Sjö and Bommen/Gröndal SEK –30m Risk of loss provision, contracting project, Stockholm SEK –30m Volume decline delayed planning process and normal margin variation c. SEK –30m Property write-down – conversion from offices to hom
Slide 10: Status of appeals
Status of appeals JM Residential Stockholm Appeal filed with Project Municipality No. apts government Appealed matters Hotellviken Nacka 110 January -02 Söderhagen Haninge 30 January -02 Lillängen Nacka 75 January -02 Långbro Stockholm 450 June -02 Frösunda Park Solna 500 April -02 Kampementsbacken
Slide 11: Status of appeals
Status of appeals JM Residential Rest of Sweden Appeal filed with Project Muncipality No. apts government West Region Torp Gothenburg 19 June -02 Ugglum Mellangård Partille 25 June -02 East Region No appealed matters South Region No appealed matters 2002-08-16 10
Slide 12: Project development: Net sales
Project development Net sales 8847 3 000 9 000 2441 8 000 2 500 7116 2217 2229 7 000 1961 2 000 5 587 6 000 5 000 1 500 4 000 1 000 3 000 2 000 500 1 000 0 0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2000 2001 2002 By quarter (SEKm) Rolling 12-month average 2002-08-16 11
Slide 13: Project development: Profit
Project development Profit 1200 1 072 1100 16% 1000 900 14% 785 800 12% 700 12,1% 600 11,0% 10% 500 420 400 350 358 8% 300 252 7,5% 200 6% 112 100 0 4% Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2000 2001 2002 By quarter (SEKm) Rolling 12-month average (SEKm) Rolling 12-month margin (%) 2002-08-16 12
Slide 14: Property sales
Property sales SEKm 4 500 4 000 3 500 928 3 000 2 500 2 000 535 1 500 380 330 1 000 176 500 135 0 1997 1998 1999 2000 2001 Jan-June 2002 Capital gains 2002-08-16 13
Slide 15: Net sales by business unit
Net sales by business unit January-June April-June July-June Full Year SEKm 2002 2001 2002 2001 2001/02 2001 JM Residential - Stockholm 1,897 1,595 918 867 3,773 3,471 JM Residential - Rest of Sweden 1,008 930 535 480 2,021 1,943 JM Production 779 817 357 426 1,759 1,797 JM Commercial 225 303 111 15
Slide 16: Operating profit by business unit
Operating profit by business unit January-June April-June July-June Full Year SEKm 2002 2001 2002 2001 2001/02 2001 JM Residential - Stockholm 200 224 81 122 520 544 JM Residential - Rest of Sweden 71 63 36 32 235 227 JM Production -3 33 -17 23 60 96 JM Commercial 271 870 46 487 451 1,050 JM interna
Slide 17: Consolidated balance sheet
Consolidated balance sheet SEKm 30 Jun 2002 30 Jun 2001 31 Dec 2001 Assets Fixed assets 204 179 210 Management properties 4,150 5,176 4,717 Development properties 3,934 3,619 4,048 Other assets 2,697 3,330 3,261 Liquid assets 156 492 652 Total 11,141 12,796 12,888 Shareholders’ equity and liabilitie
Slide 18: Building rights portfolio
Building rights portfolio No of building rights Stockholm 12,400 Gothenburg 3,000 Malmoe/Lund 2,800 Uppsala 1,800 Rest of Sweden 1,400 Oslo/Bergen 3,900 Copenhagen 900 Brussels 200 Total 26,400 2002-08-16 17
Slide 19: Target achievement 2003
Target achievement 2003 • Good prospects for achieving project development margin of 12% • Delays in planning processes mean that the number of projects starts for 2003 is assessed at 4,000 – 4,500 • Property sales proceeding according to plan • Current share repurchase strategy unchanged 2002-08-16
Slide 20: Financial targets 2003 - 2005
Financial targets 2003 - 2005 • Average return on equity after tax over a business cycle minimum of 15% • Average dividend over a business cycle 50% of consolidated profit after tax • Equity ratio 35% over a business cycle • Transfers of funds to shareholders, in addition to ordinary dividend, to ex